Background Screening: Cut Your Costs, but Not the Quality

Consider that at least 40 percent of employment candidates provide bad information on their applications or resumes, and fifteen percent have broken the law. You can’t really afford NOT to have a thorough background screening done for every prospective worker. If you don’t, the odds are about even of you sending a staffer to your client that causes you both big problems, perhaps even legal liability.

“Most clients insist that they get a temporary worker right away.”

“We can’t afford to screen everyone, especially as they might only last one day.”

“It’s the client’s problem, not ours.”

These seem to be reasonable assertions, but upon closer consideration, they are simply not true. And when things go badly and an employer files a negligent hiring lawsuit, these statements (and the thinking behind them) will come back to haunt you.

Perhaps a closer look at these assertions is in order…

True, the client does often need very quick placement for a position. Even when the client insists upon immediate placement, with written release, and a worker is placed prior to completing a background screening, the client still needs to be informed of the screening that is in process. If something undesirable is discovered in the subject’s past, it is highly recommended that they be immediately removed. With a complete background check only taking 48 hours max, we urge avoiding the above path whenever possible.

“All they (the staffing firm) care about is profit.” We have all heard this, and it is partially right – people are in business to make a money, after all. But, a safe work environment is required by OSHA, and we all have to comply with that. If the cost of the background screening avoids a multi-million dollar lawsuit, it will seem very cheap. It just takes one unsuitable worker to cause you all sorts of legal headaches and major expenses.

And the notion that this is just the client’s issue? Untrue! The courts have held time and time again that this is a joint area of responsibility and liability.

ProPublica and the Los Angeles Times completed a study last December (2009) showing that nurses and other health care workers with unsuitable histories continue to be a real problem for temp firms. Similar statistics are likely for similar businesses. Unfortunately, the problem workers know that most agencies do not bother to screen – especially not a thorough screening – before placing a temporary. This has been worsened by the present economy, when the need for employment is even more desperate, including for those with a criminal history, drug habit, or other red-flag issue.

Today’s economic challenges have resulted in the best (and more innovative) background screening providers discovering ways to cut prices on their services yet not risk reduction in quality. Introducing,… service “bundling”.

For instance, a sound background inquiry consists of an Address History (usually via the SSN), Criminal Record Checks based on those addresses, and a National Sex Offender inquiry. This can be quite affordable to do for all candidates, especially when combined with other services that actually bring in cash credits.

One example of bundling programs to cut costs is based on the WOTC tax credits. These credits are often left behind simply because employers and staffing agencies don’t know about them or think they are too much of a headache to deal with. A diligent background screening company, however, can tell if the applicant will qualify the prospective employer for any credits before the screening is even done – with no expense to you, while saving you a lot of money.

Another way that an HR outsourcing firm can help cut costs is through employment verifications. Verification of past employment is something that banks and prospective employers have an ongoing need for. Running these verification checks can take a lot of time. Again, the creative screening company has the solution. They will take those HR inquiries off your hands and pay you for doing so, saving you time and money, and guaranteeing only accurate, relevant, and consistent information that you want released is provided.

Why should your background screening company be just another vendor? They ought to be your partner, protecting both you and your clients’ interests, responding to fluctuations in the market, proactively enhancing your reputation and improving your bottom-line. Finally, they ought to be accessible and available to help whenever you need them, whether you screen thousands of applicants or just a few.